Information Technology Act Section 81A — Application of the Act to electronic cheque and truncated cheque
CHAPTER XIII MISCELLANEOUS
Cyber Law
Summary
Sub-section (1) states that the provisions of this Act, as they exist at any given time, will apply to electronic cheques and truncated cheques. This application is subject to any modifications or amendments that the Central Government considers necessary to carry out the purposes of the Negotiable Instruments Act, 1881. The Central Government must make these changes through a notification in the Official Gazette, and it must do so in consultation with the Reserve Bank of India.
Sub-section (2) requires that every notification made by the Central Government under sub-section (1) be placed before each House of Parliament as soon as possible after it is made. The notification must be laid before Parliament for a total period of thirty days, which can be spread across one session or multiple successive sessions. If, before the expiry of the session immediately following the session or successive sessions in which it was laid, both Houses of Parliament agree to modify the notification or agree that it should not be made, then the notification will take effect only in its modified form or will have no effect at all. However, any such modification or annulment will not affect the validity of anything already done under that notification before the modification or annulment.
The Explanation clarifies that, for the purposes of this Act, the terms "electronic cheque" and "truncated cheque" have the same meanings as those assigned to them in section 6 of the Negotiable Instruments Act, 1881.
Official Text
(1) The provisions of this Act, for the time being in force, shall apply to, or in relation to, electronic cheques and the truncated cheques subject to such modifications and amendments as may be necessary for carrying out the purposes of the Negotiable Instruments Act, 1881 (26 of 1881) by the Central Government, in consultation with the Reserve Bank of India, by notification in the Official Gazette.
(2) Every notification made by the Central Government under sub-section (1) shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the notification or both Houses agree that the notification should not be made, the notification shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that notification.
Explanation.–For the purposes of this Act, the expressions ―electronic cheque‖ and ―truncated cheque‖ shall have the same meaning as assigned to them in section 6 of the Negotiable Instruments Act, 1881 (26 of 1881).] 4[